... Reykjavík: Höfundur. Francis Breedon og Þórarinn G. Pétursson (2004). Out in the cold? Icelan... more ... Reykjavík: Höfundur. Francis Breedon og Þórarinn G. Pétursson (2004). Out in the cold? Iceland´s trade performance outside the EU. (Working papers No. 26). Reykjavík: Seðlabanki Íslands. Friðrik Jóhannsson (2007, 24. janúar). ...
State Owned Enterprises (SOEs) constitute a sizable part of the business life in many countries, ... more State Owned Enterprises (SOEs) constitute a sizable part of the business life in many countries, where they often have a monopolistic market position on markets that are heavily influenced by politics. Thus, efficient and professional corporate governance practices are essential to ensure that these companies are controlled with best intension and for the right reasons. In this thesis the largest electricity producer in Iceland, Landsvirkjun (LV), is analysed from many perspectives to create a comprehensive overview of the company’s operations, its governance and the environment that it operates within. The focus of the analysis is LV´s environment, macro and micro environment, its financial condition and its corporate governance practices. Based on strategy and financial analysis a financial forecast is created from which LV´s equity value is then derived from. To analyse LV´s environment PEST analysis, Porter´s 5 forces and a SWOT analysis are applied. The environmental analysis concluded that even though the electricity market in Iceland is promising, its structure has several negative aspects. In order to analyse LV´s financial condition, financial ratios are applied and compared to LV´s peer group which includes four firms which were chosen after some consideration. From this analysis it is concluded that LV is financial condition is inferior to its peers. To estimate LV´s equity value two models are applied, these are the DCF model and the ReOI present value based models. From these two valuation models it is concluded that LV´s equity value is worth 1.7 billion USD, that is 10% over the reported value of equity. The analysis of LV´s corporate governance concluded that LV lacks a framework to operate within and that LV´s owners seem oblivious about the importance of good corporate governance practices.
There has been a shortage of a general discussion about the benefits and shortcomings for the p... more There has been a shortage of a general discussion about the benefits and shortcomings for the public in Iceland in relations to the possibility of Iceland joining the European Union (EU) and European Monetary Union (EMU). The main reason is probably due to shortage of conclusion regarding this specific subject.
The aim of this research is to scrutinize this subject with the following research question in mind:
What are the benefits and shortcomings of joining the EU & EMU for the Icelandic worker?
An insight into the foundations of EU, EMU and the agreement on the
European Economic Association (EEA agreement) will be provided
before looking into the three fundamental subjects that are of great
importance for the Icelandic public. They are: common social factors,
prices on food and beverages as well as interest rates on loans and the monetary policy.
The paper concludes that there are many benefits at stake for the public if Iceland decides to join the EU and EMU. The common social factor would change the least due to the EEA agreement but as for the food and beverages cost it is clear that it would dramatically change for the benefit of the public. In regard to interest rates and monetary policy in Iceland the EMU would change the scenery in those areas to the better.
However the most important factor for the Icelandic worker is
regarding rates and loan cost due to high debts of Icelandic families.
... Reykjavík: Höfundur. Francis Breedon og Þórarinn G. Pétursson (2004). Out in the cold? Icelan... more ... Reykjavík: Höfundur. Francis Breedon og Þórarinn G. Pétursson (2004). Out in the cold? Iceland´s trade performance outside the EU. (Working papers No. 26). Reykjavík: Seðlabanki Íslands. Friðrik Jóhannsson (2007, 24. janúar). ...
State Owned Enterprises (SOEs) constitute a sizable part of the business life in many countries, ... more State Owned Enterprises (SOEs) constitute a sizable part of the business life in many countries, where they often have a monopolistic market position on markets that are heavily influenced by politics. Thus, efficient and professional corporate governance practices are essential to ensure that these companies are controlled with best intension and for the right reasons. In this thesis the largest electricity producer in Iceland, Landsvirkjun (LV), is analysed from many perspectives to create a comprehensive overview of the company’s operations, its governance and the environment that it operates within. The focus of the analysis is LV´s environment, macro and micro environment, its financial condition and its corporate governance practices. Based on strategy and financial analysis a financial forecast is created from which LV´s equity value is then derived from. To analyse LV´s environment PEST analysis, Porter´s 5 forces and a SWOT analysis are applied. The environmental analysis concluded that even though the electricity market in Iceland is promising, its structure has several negative aspects. In order to analyse LV´s financial condition, financial ratios are applied and compared to LV´s peer group which includes four firms which were chosen after some consideration. From this analysis it is concluded that LV is financial condition is inferior to its peers. To estimate LV´s equity value two models are applied, these are the DCF model and the ReOI present value based models. From these two valuation models it is concluded that LV´s equity value is worth 1.7 billion USD, that is 10% over the reported value of equity. The analysis of LV´s corporate governance concluded that LV lacks a framework to operate within and that LV´s owners seem oblivious about the importance of good corporate governance practices.
There has been a shortage of a general discussion about the benefits and shortcomings for the p... more There has been a shortage of a general discussion about the benefits and shortcomings for the public in Iceland in relations to the possibility of Iceland joining the European Union (EU) and European Monetary Union (EMU). The main reason is probably due to shortage of conclusion regarding this specific subject.
The aim of this research is to scrutinize this subject with the following research question in mind:
What are the benefits and shortcomings of joining the EU & EMU for the Icelandic worker?
An insight into the foundations of EU, EMU and the agreement on the
European Economic Association (EEA agreement) will be provided
before looking into the three fundamental subjects that are of great
importance for the Icelandic public. They are: common social factors,
prices on food and beverages as well as interest rates on loans and the monetary policy.
The paper concludes that there are many benefits at stake for the public if Iceland decides to join the EU and EMU. The common social factor would change the least due to the EEA agreement but as for the food and beverages cost it is clear that it would dramatically change for the benefit of the public. In regard to interest rates and monetary policy in Iceland the EMU would change the scenery in those areas to the better.
However the most important factor for the Icelandic worker is
regarding rates and loan cost due to high debts of Icelandic families.
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Papers by Ingi Jarl Sigurvaldason
The aim of this research is to scrutinize this subject with the following research question in mind:
What are the benefits and shortcomings of joining the EU & EMU for the Icelandic worker?
An insight into the foundations of EU, EMU and the agreement on the
European Economic Association (EEA agreement) will be provided
before looking into the three fundamental subjects that are of great
importance for the Icelandic public. They are: common social factors,
prices on food and beverages as well as interest rates on loans and the monetary policy.
The paper concludes that there are many benefits at stake for the public if Iceland decides to join the EU and EMU. The common social factor would change the least due to the EEA agreement but as for the food and beverages cost it is clear that it would dramatically change for the benefit of the public. In regard to interest rates and monetary policy in Iceland the EMU would change the scenery in those areas to the better.
However the most important factor for the Icelandic worker is
regarding rates and loan cost due to high debts of Icelandic families.
The aim of this research is to scrutinize this subject with the following research question in mind:
What are the benefits and shortcomings of joining the EU & EMU for the Icelandic worker?
An insight into the foundations of EU, EMU and the agreement on the
European Economic Association (EEA agreement) will be provided
before looking into the three fundamental subjects that are of great
importance for the Icelandic public. They are: common social factors,
prices on food and beverages as well as interest rates on loans and the monetary policy.
The paper concludes that there are many benefits at stake for the public if Iceland decides to join the EU and EMU. The common social factor would change the least due to the EEA agreement but as for the food and beverages cost it is clear that it would dramatically change for the benefit of the public. In regard to interest rates and monetary policy in Iceland the EMU would change the scenery in those areas to the better.
However the most important factor for the Icelandic worker is
regarding rates and loan cost due to high debts of Icelandic families.